One of the best places to buy a quality, near-new aircraft for well below retail value is at auction. Often brand name and premium aircraft (Cessna, Beechcraft, Piper, etc.) become state or bank owned.

property when its owners cannot pay debts and must be sold quickly to avoid substantial storage and maintenance costs. Because of this, it is sometimes possible to get quality, almost-new aircraft for 80-90% off the retail price.

Purchasing an aircraft is important research and must be done with due care. This is especially true if you are an inexperienced and/or first-time buyer. The sums involved are close to what a country

for a home, so just like with real estate, getting an expert appraisal is the safest way to go. However, that is quite expensive and not everyone feels like they want to do that research, especially when just buying a used plane.

In order to help first-time buyers, I’ve put together the top 10 things to consider when buying a plane at auction. Many of them are similar to recommendations for buying a used car, and in fact, experienced pilots basically approach airplane purchases in a similar way. Still, there are some aircraft-specific points to pay attention to.

10) Obtain a copy of the FAA Type Certificate for the aircraft you are interested in. On the Internet you can get one at http://www.faa.gov/aircraft. Here you will find all the specifications about aircraft – applicable

engines, propellers, gross weight, empty weight, speeds, etc. Also, find out about the AOPA (Association of Aircraft Owners and Pilots). They have lots of detailed information, forums, and guides on buying used aircraft, all accessible for a $39 annual membership fee.

9) Take a good look at the maintenance history. Periodic mechanical checks should have been carried out. Pay particular attention to engine hours, equipment, airworthiness directives (AD), damage history, paint,

and interiors. Be sure to ask for the number of previous owners. Several previous owners are likely to point to previous problems with the aircraft.

8) Ask the owners of the model airplane you are looking at about common previous defects and things to pay attention to when previewing. This is best done on one of the big aviation forums on the net like http://www.totalpilot.com or http://www.airplanes.com.

7) If you find a good candidate, it’s time for a thorough visual inspection. Be sure to check struts (are they evenly spread?), wings (corrosion, loose rivets), flaps (rust?), ailerons (any abnormal play if pushed lightly?), doors and windows (should seal well), propeller (caterpillar, cracks?), engine (solidly mounted, any leaks, exhaust system ok?).

6) If possible, start the engine and check how well it is running. Any irregularities in the sound? Blue smoke from the exhaust pipe (oil, can mean that the engine is worn)? Excessive white smoke (could mean there is a refrigerant leak)?

5) When buying planes at auction, start by looking. Attend the preview (usually held a while before the auction and open to the general public). Stay calm during the auction and decide what you want to bid

beforehand. Never get into a bidding war, it’s a surefire way to get buyer regret.

4) Beware of statements that are too good to be true. At auction, they are most likely just that, not true. A seller’s liability at a public auction is relatively low, and two powerful words, “AS IS”, basically release the seller from any liability. It’s up to you to identify them in material statements and be wary of any outrageous promises.

3) If you win the bid, insist on a written contract and ask that all important figures and claims be mentioned (for example, about previous owners or repairs, engine hours, or time until you get the plane). Don’t forget that the price you will pay is often higher than the winning bid. Most auctions include a 5-10% buyer’s premium.

2) Consider purchasing title insurance along with accident and liability coverage. We have just touched on the main points of buying a good airplane, and there are still numerous problems that may remain undiscovered until after purchase.

1) Don’t rush. Looking at some aircraft up for auction, you might get the feeling of a once-in-a-lifetime bargain, but in fact, the market is quite big and there are great opportunities all the time. It’s best to watch a few auctions first to get a feel for the process, and only start actively bidding once you have a good feel for the market.

There are several databases of aircraft auctioned online. One of the largest is http://www.seizedaircraft.com, with unlimited access for a one-time annual fee of $19.95.